YAKIN CO. vs FEDERATION OF PAKISTAN through Secretary Revenue Division and Ex-Officio Chairman S

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YAKIN CO. VS FEDERATION OF PAKISTAN through Secretary Revenue Division and Ex-Officio Chairman S. 11---assessment of tax and recovery of tax not levied or short levied or erroneously refunded---Order-in-Original, absence of---Fresh/Second Show-Cause Notice, issuance of---Legality---Commissioner Inland Revenue, powers of----Scope---Plea of the Inland Revenue Department for issuance of fresh/second Show-Cause Notice was that due to rampant transfers in the Department the matter could not be finalized---Validity---Sales Tax authorities under the provisions of S. 11(5) of the Sales Tax act, 1990, are legally obliged to pass Order-in-Original within 120 days of issuance of the Show-Cause Notice---However, in the present case fresh/second Show-Cause Notice, undeniably, had been issued without there being an Order-in-Original in the field and after 120 days of the issuance of the first Show-Cause Notice, which on the face of it appeared to be time-barred---Proviso to S. 11(5) of the Sales Tax act, 1990, caters the possibility of any unwarranted delays in adjudicating the matter within 120 days of issuance of Show-Cause Notice as the same empowers the Commissioner Inland Revenue to extend such period of 120 days to another term of 90 days for reasons to be recorded in writing---Where a law requires doing of something in particular manner , it has to be done in the same manner and not otherwise---In the present case, second Show-Cause Notice was issued even after the expiry of further term of 90 days---Plea of respondents/Department hardly carried weight as no one should be made to suffer on account of an act or omission on the part of State functionaries---action of the respondents/Department in not passing an Order-in-Original on the Show-Cause Notice and issuing second Show Cause Notice after the mandatory period of 120 days was illegal which could not be endorsed---High Court vacated the second/fresh Show-Cause Notice, in circumstances---Constitutional petition was allowed, is circumstances.

YAKIN CO. vs FEDERATION OF PAKISTAN through Secretary Revenue Division and Ex-Officio Chairman S — 2024 PTD 355 KARACHI-HIGH-COURT-SINDH

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